KSL raises bid for Great Wolf, topping Apollo

MADISON, Wis. (AP) — Private equity firm KSL Capital Partners is increasing its bid for Great Wolf Resorts Inc. again, topping an offer from Apollo Global Management, as the bidding war for the water park operator intensifies.

Shares of Great Wolf climbed 29 cents, or 4.1 percent, to $7.45 in premarket trading Thursday.

The pursuit of Great Wolf began in March, when Apollo offered $5 per share for the company. The private equity firm raised that offer to $6.75 per share after KSL launched its own $6.25 per share bid in early April.

Great Wolf's board unanimously agreed to Apollo's offer, which was quickly topped by a bid from KSL at $7 per share.

Apollo on Wednesday said it matched KSL's $7 per share bid. And on Thursday KSL countered, saying that it was now raising its offer to $7.25 per share.

The latest price values Great Wolf at about $242 million, based on its 33.4 million shares outstanding, according to FactSet.

Great Wolf said its board has decided that KSL's new offer is superior to Apollo's and that it has given Apollo written notice that it is prepared to potentially end its deal with them. Great Wolf said that Apollo has three business days to revise its bid so that it is at least comparable to KSL's offer.

The KSL offer expires on April 25.

Great Wolf, based in Madison, Wis., operates 11 indoor water parks in the U.S. and Canada.